AUDUSD – Upside Thrust Underway

Aussie dollar is enjoying a nice upside move against the US dollar, and may test 0.7400.

The AUDUSD pair is under a lot of bullish pressure and it may remain for some time.

The Australian Retail Sales released by the Australian Bureau of Statistics posted a rise of 0.3%, which was less than the market expected.

US nonfarm payrolls will be released by the US Department of Labor today, which may create a lot of volatility moving ahead.

Technical Analysis

The Aussie Dollar continued to march higher and traded above 0.7300 resistance against the US dollar. There are a couple of bullish trend lines formed on the hourly chart formed on the AUDUSD pair, which are acting as a support zone for the pair.

The 50 hourly simple moving average is aligned with the highlighted trend line and support area, which is a positive sign. The next level on the upside can be around the 0.7400 area.

On the downside, the highlighted trend lines may play a crucial role, and as long as the AUDUSD pair is above them more gains are possible.

Australian Retail Sales

The Australian Retail Sales report was released by the Australian Bureau of Statistics today. According to the survey of goods sold by retailers in retail stores grew by 0.3% in Jan 2016, which was low compared with the forecast of 0.4%.

The report added that the ‘seasonally adjusted estimate rose 0.3% in January 2016. This follows a relatively unchanged December 2015 (0.0%) and a rise of 0.4% in November 2015. In trend terms, Australian turnover rose 4.0% in January 2016 compared with January 2015”.

The AUDUSD pair continued to move higher, and it may continue to do so in the near term.

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